Niger's Prime Minister Announces Full Restoration of International Cooperation

Niger's Prime Minister, Ali Mahaman Lamine Zeine, has declared that the country has fully restored its cooperation with the international community. This announcement was made during a press conference at the Diori Hamani International Airport in Niamey, following his return from Nairobi, Kenya.

Why this matters: Niger's restoration of international cooperation has significant implications for global economic stability and development. This renewed cooperation is expected to bring numerous benefits, including economic growth and enhanced international support, which can have a positive impact on the country's citizens and the wider region.

Zeine's visit to Nairobi was to attend the annual assemblies of the African Development Bank (BAD). Upon his return, he emphasized the significance of this development for Niger, stating, "At the end of our mission, we can say that today, Niger has fully restored its cooperation with the entire international community."

This positive shift comes after Niger's concerted efforts to address its international relationships, despite facing challenges with limited resources. The restoration of cooperation is expected to bring numerous benefits, including economic growth and enhanced international support.

In related developments, the International Monetary Fund (IMF) has reached a staff-level agreement with Nigerien authorities on the fourth and fifth reviews of Niger's economic program under the Extended Credit Facility (ECF) and the first review under the Resilience and Sustainability Facility (RSF). This agreement is vital for Niger's economic stability and growth.

The economic outlook for Niger is promising, with growth projected at 10.6% in 2024, driven by oil exports and the lifting of sanctions. However, the positive outlook is subject to risks, particularly those linked to security and climate vulnerabilities.

Key reforms are being implemented to enhance domestic revenue mobilization, which is crucial for increasing fiscal space for priority social and security spending. Efforts to simplify the tax system, promote digitalization of revenue administration, and adopt an oil revenue management strategy are underway.

The completion of the ECF reviews would allow for the disbursement of SDR 19.7 million (about US$ 26.1 million), while the completion of the first review of the RSF would allow for the disbursement of SDR 34.2 million (about US$ 45.3 million). These funds are critical for supporting Niger's economic initiatives.

Key Takeaways

• Niger's Prime Minister declares full restoration of international cooperation.
• Restoration expected to bring economic growth and enhanced international support.
• IMF reaches staff-level agreement with Niger on economic program reviews.
• Niger's economic growth projected at 10.6% in 2024, driven by oil exports.
• Key reforms underway to enhance domestic revenue mobilization and fiscal space.